Spectrum Power gets new chairman

 The board of directors of the company had been restructured recently with the FIs getting control over the company following a Supreme Court order and conversion of a portion of debt into equity.

 Narasimha Murthy, who is also on the boards of IDBI and UTI Bank, was nominated by the institutions on SPGL board as their representative.

 SPGL, which has been suffering from a strife between the two promoters of the company -- M Kishen Rao and AV Mohan Rao-- is running a 208-MW gas-based independent power project (IPP) at Kakinada.

 The private promoters, foreign collaborator Rolls Royce and financial institutions hold 33 per cent stake each in the Rs 150 crore paid-up capital of the company.

 The company currently has an outstanding debt liability of about Rs 800 crore.

 With the current restructuring, the board of SPGL is dominated by institutions with one member each from IDBI, IFCI, ICICI, SBI, UTI and LIC.

 Rolls Royce has two nominees on the board where both the private promoters are also sitting. According sources, the company will soon appoint a professional MD.